What are your big trading tips for 20 July in the stock markets? Do you see the Nifty and Sensex facing resistance at these levels?
Answer
Answer
You are right that Nifty could face resistance around 11,000 and the 11,200 levels as that is where call writing is being seen. Action will be more stock specific. Due to weak cues from SGX Nifty, you could see a weak opening on Monday. Here are my tips for 20 July.
· You can book partial profits in Infosys and BPCL after the rally. Buy fresh into GAIL at Rs.100 levels for targets of Rs.125 as it still substantially underpriced.
· HDFC Life can be accumulated at Rs.614 for targets of Rs.700 in one quarter. With the focus of BFSI shifting to insurance, HDFC Life could see a breakout.
· Buy UPL in range of Rs.430-440 for 3 month delivery with target of Rs.550. This stock continues to be the best play on Indian agri sector revival.
Action on 20 July will be large stock specific with Nifty facing resistance at the 11,000 levels. For now, the 10,800 levels could play the support for Nifty.